Which of the following actions would be most likely to increase economic growth in a developing country?
a. establishment of a command economy that can set definite goals for the future and implement them
b. an increase in foreign aid to finance spending on infrastructure such as roads and bridges
c. development of a legal system that fairly protects people and their property
d. construction of new colleges to expand higher education
c. development of a legal system that fairly protects people and their property
You might also like to view...
Increases in inflation redistribute resources from ________-spending to ________-spending households and hence, ________ short-run equilibrium output.
A. high; low; increase B. low; high; increase C. low; high; decrease D. high; low; decrease
The European Union is seen as a less than optimal currency area because
A) of a lack of labor mobility and fiscal integration. B) of a lack of fiscal integration and capital mobility. C) of disagreements over fiscal policy and trade restrictions. D) of the national identity lost with the euro.
In the above figure, if we begin at S2 and the Fed buys bonds
A) the price of bonds falls, and the interest rate rises. B) the price of bonds falls, and so does the interest rate. C) the price of bonds rises, and so does the interest rate. D) the price of bonds rises, and the interest rate falls.
One of the initial problems facing the newly elected President Clinton was a large budget deficit
a. True b. False Indicate whether the statement is true or false